Personal Finance

Even before Department of Post got approval from RBI to open up a payment bank, India Post has been active in securing last mile deposits with its various saving schemes, currently India post holds more than 6 lac crores of balance in its various saving schemes, this is almost half of what biggest public sector bank in India SBI holds and almost 2 times the deposits which ICICI bank the largest private bank in India has.

Juxtapose this with unparalleled reach India post has it already covers most parts of India, with a 95 % pin code coverage, India post juggernaut can be the biggest and most forceful driver of financial inclusion in India, where large parts of the rural population are still under banked .

India post already sells insurance products and with latest payment bank license , India post can truly transform itself into a financial behemoth with best in class reach , brand, and people that Indians trust

Downsides of Investing in Post Office schemes

Post offices still do not have core banking implemented, hence most of the investments you make are localized as a result you will need to keep going to the same post office where you invested.

No digitization hence all your investments stay in hard copy

Because of zero digitization , you need to take care of physical investment papers like NSC certificates etc . In case of damage or if the physical document gets lost you need to go through lot of pain to get things right

Post staff will not be the most friendly staff you will see around and the investment experience not the most pleasant experience